California Democrats propose $25 minimum wage for health workers

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California Democrats propose $25 minimum wage for health workers
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Pro-union Democratic state lawmakers are set to introduce legislation mandating a raise for health workers, likely setting up a battle with hospitals and clinics.

Union-aligned Democratic state lawmakers were set to introduce legislation Wednesday mandating a statewide $25 minimum wage for health workers and support staffers, likely setting up a pitched battle with hospitals, nursing homes and dialysis clinics.

Although the bill is backed by the influential Service Employees International Union-United Healthcare Workers West, which represents roughly 100,000 workers statewide, similar proposals have previously faced strong opposition from the health industry. Earlier this month, the California Hospital Assn. launched a campaign to ask lawmakers for an extra $1.5 billion in the state budget for Medi-Cal, the state’s insurance program for people with low incomes and disabilities. In a Feb. 9 memo, Carmela Coyle, the association’s president and chief executive, wrote that hospitals need urgent financial relief, citing inflation and mounting costs: “Help is needed — immediately.

Durazo said she’s willing to hear hospitals’ concerns about loosening seismic retrofit standards but prefers to treat the two issues separately. Raising the minimum wage would bring families out of poverty, said Joanne Spetz, director of the Institute for Health Policy Studies at UC San Francisco. But whether the bill will solve chronic workforce shortages is unclear because wages are just one factor.“If you don’t get higher reimbursements from Medicare, Medicaid and private insurers, then you’re gonna have to figure out how to absorb that cost increase,” Spetz said. “Or you just get rid of the worker.

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